Currency in GBP
Last close As at 30/03/2023
GBP13.10
▲ −38.00 (−2.82%)
Market capitalisation
GBP880m
Research: TMT
WANdisco has announced a $7.1m follow-on agreement with a large European automotive components supplier. This takes total disclosed bookings this year to $59.1m versus our FY forecast of $60m, meaning that upside to this KPI forecast now looks very probable. The Q3 update will give us more visibility on the rate at which customers are starting to use this data – which will see bookings flow through to the P&L. We will revise our estimates at that stage but see sizable uplift potential at all KPI levels, particularly in the 2023 timescale.
WANdisco |
$7.1m deal provides further upside potential |
Contract win |
Technology |
4 October 2022 |
Share price performance Business description
Analysts
WANdisco is a research client of Edison Investment Research Limited |
WANdisco has announced a $7.1m follow-on agreement with a large European automotive components supplier. This takes total disclosed bookings this year to $59.1m versus our FY forecast of $60m, meaning that upside to this KPI forecast now looks very probable. The Q3 update will give us more visibility on the rate at which customers are starting to use this data – which will see bookings flow through to the P&L. We will revise our estimates at that stage but see sizable uplift potential at all KPI levels, particularly in the 2023 timescale.
Year end |
Revenue ($m) |
Bookings ($m) |
Ending RPO* |
EBITDA ($m) |
EPS** (c) |
EV sales ($m) |
Net cash ($m) |
12/20 |
10.5 |
10.2 |
4.9 |
(22.2) |
(57.3) |
32.9 |
18.1 |
12/21 |
7.3 |
11.9 |
9.4 |
(29.5) |
(57.9) |
47.5 |
25.9 |
12/22e |
12.0 |
60.0 |
57.4 |
(25.9) |
(48.4) |
28.9 |
21.2 |
12/23e |
25.0 |
65.0 |
97.4 |
(15.3) |
(29.0) |
13.9 |
1.5 |
Note: *Ending RPO = beginning RPO + bookings – revenue. **EPS is normalised, excluding amortisation of acquired intangibles, exceptional items and share-based payments.
The deal announced today is a follow on from an original $5m deal with the same components supplier announced in July this year, taking the total to an aggregate of $12.1m. The extension has been agreed because the volume of data to transfer exceeds the initial amount contracted for, as a result of the client collaboration with a multinational vehicle OEM to provide advanced-driver assistance systems (ADAS) domain controller, sensors and software for parking and manoeuvring. The client expects to see its data needs grow further over the lifetime of the contract, as an increasing number of vehicles incorporate its sensors from which data is collected, so we see significant further expansion opportunities from here.
This expanded contract also follows shortly on from the $25m commit-to-consume agreement with a top 10 global telco, highlighting WANdisco’s opportunity to expand its engagement with customers as data demands increase and the technology is applied to new use cases. The statement confirms that the pipeline remains strong across multiple sectors.
WANdisco is being paid 50% of the aggregate $12.1m up front as a part of this deal extension, further reducing the likelihood that WANdisco will need to raise more cash.
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Research: Healthcare
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